Imo Uncovers N4b Fraud

05.01.2008

Governor Ikedi Ohakim of Imo State said on Friday that the government had uncovered frauds of more than N4 billion by past local government administrators and top ranking politicians with the connivance of contractors.

Ohakim made the disclosure in Owerri at the first stakeholders’ forum, organised by the state government.

He said, “The criminal activities between some local governments and contractors had crippled council administrative system in the state.”

He explained that such activities had been going on for long, with contractors who did not execute jobs, encouraged to sue the councils.

The governor explained, “When a local government is sued, the court process is deliberately ignored and judgment entered against the council.

“Such bogus judgment debt is then gladly paid by the collaborators in the council with obvious intent.

“From records available to us, all past local governments and some big men sitting in this audience are involved in the racket.”

The governor noted that his administration was passing such judgment debts to the Attorney-General for analysis and further action.

According to him, the activities have rendered the councils incapable of delivering meaningful services to the people.

He said no council in the state had built one kilometre of asphalt road, stressing that many big men got contracts from the councils, collected money but did not execute them.